3Com ends patent talks with Xircom

Decides to sue instead

Negotiations between 3Com and Xircom aimed at resolving the two comms companies' argument over patent ownership and infringement have broken down, Xircom admitted today.

3Com launched legal action against Xircom back in May, alleging the latter had infringed two sets of its patents. Rather than filing the suit, 3Com used it to bring Xircom to the table to discuss licensing the patents.

The various patents relate to PC Card-based analog modem products.

3Com will now proceed with its original litigation.

"3Com has been and will continue to be damaged by the infringing conduct," claims the suit, though the latter point is questionable given the company's move to sell its low-end modem business to Far Eastern operations Accton Technology from Taiwan and Singapore's NatSteel Electronics as part of its plans to cut costs by eliminating its least margin-friendly product lines. ®